China And India Move Up In Global Competitiveness

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China and India moved up by one place in the annual ranking of the worlds 133 most competitive economies according to the The Global Competitiveness Report 2009-2010 released on Tuesday.

The World Economic Forum (WEF) says that China led the way for major emerging economies, climbing to 29th place from 30th. BRIC economies Brazil and India also reported improved rankings in the report although Russia plunged by 12 places to 63rd place. India moved up from 50th to 49th place.

The United States was overtaken by Switzerland to be the top most competitive nation in the world. At third place is Singapore climbing up by three places from last year then followed by Sweden and Denmark. Switzerland is the most competitive country overtaking the United States, which falls to second position, with weakening in its financial markets and macroeconomic stability, the report said.

The report ranked competitiveness ranking based on the Global Competitiveness Index that looked at an economys institutions, infrastructure, macroeconomic stability, health and primary education, higher education and training, goods market efficiency, labor market efficiency, financial market sophistication, technological readiness, market size, business sophistication, and innovation.

On Indias improvement in the rankings, the Indian Express said: Indias competitive performance continues to exhibit a rather reversed development pattern. It precedes many advanced economies in terms of business sophistication and innovation capacity.

The country also boasts of fairly well functioning institutions (54th), bustling financial markets (16th), and a sound banking sector (25th) supported by a vast domestic market (4th largest in PPP terms).

In comparison, on the same parameters, China is ranked 48th on functioning institutions, 81st on financial market sophistication, 66th on the soundness of banks and 2nd in terms of vast domestic market.




About the Author:
This article was written for the Asian business news blog, 2point6billion.com.The blog is contributed to by the China tax experts at Dezan Shira & Associates, which maintains accountants in Shanghai, Beijing and Hong Kong. They also run an accounting firm in Mumbai, Delhi and Bangalore.



Article Originally Published On: http://www.articlesnatch.com


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